Nente co June 2012

This topic has 3 replies, 2 voices, and was last updated 8 years ago by John Moffat.

Viewing 4 posts - 1 through 4 (of 4 total)

Author
Posts
August 24, 2017 at 6:50 am #403272
parisnaaa
Member
- Topics: 32
- Replies: 92
Hi
In a, why 1180 isn’t discounted by 11% discount rate for four years?
August 24, 2017 at 3:28 pm #403332
John Moffat
Keymaster
- Topics: 57
- Replies: 54843
It has been discounted at 11%.
However why on earth should it be discounted for 4 years? It is a perpetuity inflating at 2.06% per year, and has been discounted accordingly.
August 24, 2017 at 5:41 pm #403366
parisnaaa
Member
- Topics: 32
- Replies: 92
Thank you for the reply but i dont get where $13417 has already been discounted. After 4 years it will go to perpetuity so for that dont we need to discount $13417 like in other M/A questions?If not then ,why? Please do explain me in detail so that I can understand.
August 25, 2017 at 6:58 am #403408
John Moffat
Keymaster
- Topics: 57
- Replies: 54843
The only mention of 4 years in the question refers to the past 4 years – not to the future. It is immediately a perpetuity in the future.
Author
Posts

Viewing 4 posts - 1 through 4 (of 4 total)

The topic ‘Nente co June 2012’ is closed to new replies.